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‘Out of touch’ Starbucks CEO slammed as he defends $9 coffees as 'premium experience'
Home>Money
Published 14:01 2 May 2026 GMT+1

‘Out of touch’ Starbucks CEO slammed as he defends $9 coffees as 'premium experience'

He suggests that Gen Z are loving Starbucks more than ever

James Moorhouse

James Moorhouse

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Starbucks' coffee beans aren't the only thing getting roasted right now after the company's CEO spoke about the premium $9 drinks on offer.

Young people are constantly being told that it's too many coffees, takeaways and subscriptions that are stopping them from buying a house, rather than the huge prices in comparison to wages, but the boomers might actually be right if you're spending as much as $9 on a single coffee.

Unfortunately for Starbucks fans over in the US, where the coffee chain boasts close to 17,000 different locations, that's the reality right now after Brian Niccol suggested that the price was justified because of the 'premium service' the company offers, whether that be the coffee itself or spelling everybody's name wrong on the cup.

Niccol was recently a guest on The Wall Street Journal's 'What's News AM' podcast where he suggested that customers from across all income levels were willing to shell out the big bucks just for a chance to interact with baristas or get themselves a 'great seat' inside the chain.

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Starbucks is a global brand (Cheng Xin/Getty Images)
Starbucks is a global brand (Cheng Xin/Getty Images)

Now, I don't know if things are different over in the US but I can't personally remember any genuine conversation I've ever had with a barista, and 90 per cent of the drinks that people get are to takeaway, especially when ordering from a big brand.

He said: “What we’re seeing is people, you know, they want to have a special experience, and regardless of what your income level is, in some cases, a $9 experience does feel like you’re splurging.

“And then, what that means is we have to make it worthwhile, right? And then in other cases, people believe, ‘Well this is a really affordable premium experience.’ Because they’re saying like, ‘Well it’s less than $10 and I get a really premium experience.

"So, regardless of where you’re stationed in those income cohorts, we want to make that experience worth your while. And what we know is what’s definitely something that drives that value is to be able to have a great seat, having a great moment of connection with a barista.”

Thank goodness for the premium interactions with baristas (Ramin Talaie/Corbis via Getty Images)
Thank goodness for the premium interactions with baristas (Ramin Talaie/Corbis via Getty Images)

Naturally, people were quick to call this out, pointing out that people aren't likely to be happy to be paying so much for a cup of coffee simply for the chance to exchange a few words with a random barista.

But Niccol suggests that it's actually Gen Z who value this the most, saying: “We’re doing really well with Gen Z and millennials, and then really had strong performances across all income cohorts."

Niccol has faced a lot of criticism in the wake of his comments, particularly since he reportedly takes a private jet to work sometimes.

One social media user said: “This is a guy who remote works from Orange county and then takes a private jet to work in Seattle. He’s out of touch.

Another questioned: “When was the last time Starbucks felt like a premium experience.

A third added: "Starbucks is a premium experience?”


Featured Image Credit: Michael Nagle/Bloomberg via Getty Images

Topics: Starbucks, Gen Z, Cost of Living

James Moorhouse
James Moorhouse

James is a NCTJ Gold Standard journalist covering a wide range of topics and news stories for LADbible. After two years in football writing, James switched to covering news with Newsquest in Cumbria, before joining the LAD team in 2025. In his spare time, James is a long-suffering Rochdale fan and loves reading, running and music. Contact him via [email protected]

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@JimmyMoorhouse

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